Deals of the Day: AIG Weighs Joining Suit Against U.S.

Deals of the Day compiles this morning’s biggest news about mergers and acquisitions, banking, bankruptcy and more. Catch us on Twitter, @WSJDealJournal.

Mergers & Acquisitions

Cerberus Sells Down Aozora: U.S. private-equity firm Cerberus plans to sell most of its 58% stake in Japanese lender Aozora, largely exiting from a volatile 10-year investment. [WSJ]

Prepaid Pain for MetroPCS: Just when it seemed like MetroPCS shares were trading near the bottom of the range implied by T-Mobile USA's bid, weak subscriber figures have pushed them down even further. [Heard on the Street]

Financial Institutions

AIG Weighs Joining Suit Against U.S.: Directors at AIG are considering whether to join a lawsuit that accuses the U.S. government of too-onerous terms in the 2008-2009 rescue package. [WSJ]

Staley Jumps to Fund That Won 'Whale' Bets: Jes Staley, long-time confidant and ally of J.P. Morgan CEO Jamie Dimon, is leaving for BlueMountain Capital Management, a firm that profited by taking the opposite side of the "London Whale" trades. [Deal Journal]

Goldman Team Sidesteps Volcker: Goldman Sachs's Multi-Strategy Investing, or MSI, wagers about $1 billion of the New York-based firm’s own funds on the stocks and bonds of companies, including a mortgage servicer and a cement producer. The team’s survival shows how Goldman Sachs has worked around regulations curbing proprietary bets at banks. [Bloomberg]

New CEO Shuffles the Deck at Citi:Citigroup CEO Michael Corbat moved to cement his grip on the giant lender Monday, outlining a management shuffle in which two top allies of former CEO Vikram Pandit will leave or have duties reduced. [WSJ]
RBC Hires Tarnished Analyst: Tech analyst Mark Mahaney, who was dismissed by Citigroup in October for violating disclosure rules involving Facebook and Google, will lead Internet coverage for RBC Capital Markets. [WSJ]

Legal & Regulatory

Peregrine Scion Aims to Clean Slate: Six months after his dad's brokerage collapsed in scandal, Russell Wasendorf Jr. is struggling to move on. He relocated to Florida, where he is looking for work as a consultant and mulling a move to Australia. [WSJ]

Buyside

Leon Black Investing Dartmouth Money Stirs Ethics Debate: Dartmouth's campus in recent years has been financed by wealthy alumni. Less evident is what Dartmouth has given to these wealthy alumni -- all of whom are, or have been until recently, trustees or members of the school’s investment committee. [Bloomberg]